ReadWriteStart

JUNE 1, 2020

If you are facing any problem you can always check out this: Business Loan vs. Equity Financing. The bridge or exit stage is generally of very large transactions and for companies with substantial valuation. Investors usually carry a portfolio of startups. So do your research into the investor’s portfolio before pitching.

Startup 150

Startup Entrepreneur Elevator Pitch Seed Stage 150

Both Sides of the Table

FEBRUARY 12, 2019

why the hell has seed financing declined so much in the past 3 years?? You can see this trend in the excellent data from Cendana below where the number of seed extension rounds has gone up dramatically in their portfolio and the time from seed to A has extended. thus the rise of “pre seed” investing).

Venture Capital 328

Venture Capital Technical Review Seed Stage IPO 328

View from Seed

OCTOBER 21, 2014

Using NextView as an example, since we both seek to lead the seed round and only lead during this round, I’ve seen this trend manifest in one of two ways: In a priced round, the entrepreneur will often share their valuation ask (or a stated floor) for the pre-money valuation of their company much sooner in the process.

Valuation 336

Valuation Founder Seed Stage Angel Investor 336

David Cohen

AUGUST 9, 2020

Back in April of this year I wrote “ Are financings and M&A slowing down during the pandemic? For financings, the data shows that there’s still no change in the activity level in general. Last July was a bit of an outlier for Techstars, with 71 financings starting that month.

Finance 128

Finance Valuation Portfolio Stock 128

Hunter Walker

JUNE 9, 2023

My friends at Weekend Fund recently put out a round-up newsletter of some investor responses to the question “ Do Valuations Matter? They view valuation as an important guardrail in evaluating an investment opportunity. Like NEA, Homebrew takes an ownership-driven approach to investing.

Valuation 69

Valuation Seed Stage Portfolio Framework 69

Version One Ventures

APRIL 6, 2021

Despite the obvious challenges, we ended 2020 on a strong note and, so far, our portfolio family has been riding a huge momentum wave. 2021 is proving to be an incredible year across our portfolio – from big funding announcements to significant product developments. Preemadonna raised over $5M in seed financing. valuation. .

Portfolio 60

Portfolio SEC Common Stock Angel Investor 60

Steve Blank

APRIL 26, 2022

At the turn of the century after the dotcom crash, startup valuations plummeted, burn rates were unsustainable, and startups were quickly running out of cash. For existing investors, sometimes it was a “pay-to-play” i.e. if you don’t participate in the new financing you lose. This article previously appeared in TechCrunch.

Cram Down 412

Cram Down Founder Venture Capital Recapitalization 412

YoungUpstarts

OCTOBER 28, 2015

This article highlights their advice on issues ranging from financing to patent trolls: While startups may believe lawyers are too costly, working with one early on avoids potentially serious problems later. “And if you have a valuation cap; a higher cap is always better than a lower cap.” ” The Cost of Financing.

Convertible Security 100

Convertible Security IP Technical Review Software Review 100

David Cohen

DECEMBER 9, 2020

Back in April of this year I wrote “ Are financings and M&A slowing down during the pandemic? Total Financing YTD. For financings, the data shows that there’s still no meaningful change in the activity level in general. July of 2019 was a bit of an outlier for Techstars, with 71 financings starting that month.

Finance 115

Finance Early Stage Startup Valuation 115

VC Adventure

AUGUST 15, 2018

However the board could determine what that fair market value was and, generally speaking, there wasn’t a practical way that these valuations could be challenged. Over night a cottage industry was created to conduct these valuations. I thought it would be worth taking a look at the data across the Foundry portfolio.

Valuation 48

Valuation Common Stock Cap Table Software Review 48

Both Sides of the Table

OCTOBER 12, 2014

It’s why I often advise angel investors to be careful about assuming that being an angel investor is a profitable exercise unless you have the ability to have a wide-enough portfolio to have a few companies doing extraordinarily well plus deep enough pockets to follow your winners. Thus begins the dance.

Technical Review 336

Technical Review Later Stage Early Stage LP 336

David Cohen

JULY 2, 2020

Back in April of this year I wrote “ Are financings and M&A slowing down during the pandemic? For financings, the data shows that there’s still no change in the activity level. Sure, maybe valuations have adjusted downward slightly, but the pace feels unchanged.

Finance 98

Finance Valuation Stock Portfolio 98

VC Adventure

AUGUST 31, 2017

So no surprise that when River Cities Capital released an overview of SaaS operating and valuation benchmarks, I hung on every juicy detail. The valuation metrics show this clearly. There are a ton of private SaaS financings. In 2016 there were over 2,000 financing rounds of private SaaS companies ($18.5Bn invested).

IPO 113

IPO Vertical Balance Sheet Valuation 113

David Cohen

NOVEMBER 6, 2020

Back in April of this year I wrote “ Are financings and M&A slowing down during the pandemic? Total Financing YTD. For financings, the data shows that there’s still no meaningful change in the activity level in general. Last July was a bit of an outlier for Techstars, with 71 financings starting that month.

Finance 95

Finance Early Stage Startup Valuation 95

David Teten

AUGUST 20, 2019

In addition, their portfolios look far more diverse than VC industry norms. Revenue-Based Investing (“RBI”) is a new form of VC financing, distinct from the preferred equity structure most VCs use. Feenix Partners reports that “35% of our portfolio companies have either a female or minority (non-Caucasian) CEO or Owner.” .

Revenue 60

Revenue Cofounder Founder Venture Capital 60

Both Sides of the Table

MARCH 21, 2013

So when I meet with GRP portfolio companies that do enterprise sales I try to emphasize the following: 1. Another rule I outline with our portfolio companies who sell enterprise solutions is that I don’t want them to become a distraction for management. [it's all in this article if you want the details].

Software Review 321

Software Review Software IP Technical Review 321

Feld Thoughts

MARCH 24, 2017

We also know many of the entrepreneurs in their portfolio. If you look at the Founder Collective portfolio , you’ll see many well-recognized companies that they invested in at the very first round. In general, these investments were rarely competitive at the time of their first financing.

Founder 75

Founder LP Technical Review Seed Stage 75

Version One Ventures

OCTOBER 3, 2021

Dapper Labs raised another $250M, putting their valuation at $7.6B. The Guesser team brings their experience in decentralized finance applications, smart contract software and tech, and on-chain markets to Gemini. You can read more about the announcement and their mission to remove carbon from the atmosphere at giga-tonne scal e. .

Portfolio 60

Portfolio Canada API Valuation 60

Start Up Blog

MAY 28, 2020

Perception also informs finance. Uber has lost $38 billion since 2013 and yet still has a market valuation of around $60 billion. – Tesla $ valuation per car sold = $302k. – GM $ valuation per car = $5k. – Ford $ valuation per car sold = $17k. – Toyota $ valuation per car sold = $15k.

Valuation 48

Valuation Technical Review Singapore India 48

Both Sides of the Table

JULY 29, 2010

We received so much positive feedback from our This Week in Venture Capital show walking through valuation calculations & term sheets that we decided to do a Q&A show this week to address topics that entrepreneurs want to learn about. The best thing to get is a “right sized&# valuation. A: It’s not best.

Venture Capital 282

Venture Capital Term Sheet Valuation Stock Options 282

Both Sides of the Table

AUGUST 24, 2015

So why invest in that period of uncertainty unless it’s early-stage and thus valuation matters less. You might also favor a quicker close at a slightly lower valuation than you had hoped in order to decrease risk. You might also favor a quicker close at a slightly lower valuation than you had hoped in order to decrease risk.

Stock 150

Stock Finance Marketing Valuation 150

Both Sides of the Table

JANUARY 22, 2014

I would call their portfolio companies and ask how helpful or not they’ve been. I’ve watched VCs help with valuation support (spreadsheets, comps) on next round financing, participate in M&A meetings, interview senior job candidates – even help terminate tricky senior hires. look at their portfolio list.

Portfolio 364

Portfolio Chicago Sales Incubator 364

Version One Ventures

DECEMBER 14, 2016

In other words, any correction in public valuations happened quickly and has now stabilized. From Series A and onwards, fundraising takes longer and valuations are typically below the expectations and benchmarks of 2015. Mattermark (a portfolio company) looked at the matriculation rates for a class of startups.

Technical Review 60

Technical Review Early Stage Portfolio Valuation 60

OnlyOnce

OCTOBER 31, 2013

Look for VC portfolios that have a lot of “like” companies (B2B, B2C, media, tech, etc.). The financing is the line of demarcation between you and the VC courting each other, and the VC joining your board and effectively becoming your boss. Similarly, I’d always sacrifice valuation for a clean security.

Valuation 133

Valuation Term Sheet B2C Security 133

Steve Blank

MARCH 31, 2014

Cheered on by finance professors, Wall Street analysts, investors and hedge funds, companies have learned how to make metrics like Internal Rate of Return look great by one; outsourcing everything, two, getting assets off their balance sheet, and three only investing in things that pay off fast.

Private Equity 328

Private Equity Metrics China Intellectual Property 328

YoungUpstarts

OCTOBER 23, 2017

PC and mobile interfaces dynamically display portfolio valuations and exposures, along with system-generated investment recommendations tailored to a specific client’s financial goals and risk appetite. in mathematical logic and senior portfolio manager at the time, started an AI-program trading small amounts. Underwriting.

Technical Review 154

Technical Review Artificial Inteligence Software Review IPO 154

ithacaVC

NOVEMBER 14, 2014

I have written about startup valuations previously. If you are advising startup founders, I strongly suggest having them read all 4 of the posts to get the lay of the startup valuation land. There’s a reason it’s so difficult to figure out – valuations have little basis in reality for early stage companies. Market size.

Valuation 69

Valuation Startup Down Round Early Stage 69

Version One Ventures

OCTOBER 15, 2020

Let’s now explore the major developments and ultimate use cases for the Lightning Network in two categories: A) payments/finance and B) Web3. . Use Case I: Payments and Finance . In this post, I outlined why the Lightning Network matters and recent developments around its two major use cases: payments/finance and Web3. .

Networking 168

Networking Global OTC Security 168

Hunter Walker

SEPTEMBER 15, 2023

So when I tell you what I’m seeing in venture financing these days if you disagree with me, it might just be that we’re touching different parts of the elephant. Semil asserts, Seed-stage valuations have generally been left-unchanged, and I could argue even they’ve gone up since the beginning of 2022.

Cap Table 93

Cap Table Valuation Salary Seed Stage 93

VC Adventure

MARCH 17, 2022

With the markets down significantly, financings (at least at the later stages) slowing down, and inflation and interest rates on the rise, perhaps now is a good time to talk about your burn rate. Hopefully, you took advantage of the robust financing markets of the past few years to put some money on your balance sheet.

Balance Sheet 121

Balance Sheet Burn Rate Valuation Metrics 121

The Startup Magazine

DECEMBER 7, 2023

The finance industry is laden with intricacies. Core Tactics of Risk Management Companies To navigate the turbulences of the finance industry, institutions increasingly lean on risk management companies. As we move forward, this partnership between finance and risk management will not just be desirable but indispensable.

Security 148

Security Management Forecast Finance 148

Transformify

MAY 24, 2018

The successful candidate must be a qualified accountant (ACA, ACCA, CIMA or equivalent) with experience in a lead finance role within a start-up environment, preferably within the Technology or Fintech sectors. You must also have excellent presentational and communication skills.

Finance 40

Finance Carried Interest Forecast Valuation 40

David Teten

JANUARY 19, 2021

Yes, via conversion rights at a valuation cap. Yes, via conversion rights at a valuation cap. Seed-stage compatible: Like traditional equity VC investors, Flexible VCs accomodate early-stage investment risk within their portfolios better than a traditional RBI funder. Flexible VC: Compensation-based. Flexible VC: Blended Return.

Cofounder 78

Cofounder Technical Review Equity Dividend 78

VC Adventure

APRIL 2, 2020

For example, I also generally point out that despite most investors saying this, the vast majority are hitting pause on new investments for a bit (say 1-2 months, but who really knows) while they both focus on their existing portfolio and the decisions that need to be made in the near term about cash preservation, PPP loans, etc.

Valuation 118

Valuation Portfolio Database Early Stage 118

Both Sides of the Table

JULY 27, 2014

We both agree that the later-stage valuations are being driven up to a point that feels irrationally priced [he uses b-round SaaS valuations as an example and I am willing to be even more broad based]. Video 1 is here : Late stage valuations are in a mini bubble. This can’t all be driven by increased company performance).

Valuation 309

Valuation Pre-Money Valuation Later Stage Non-Compete 309

Cracking the Code

FEBRUARY 23, 2011

Detailed SaaS Spreadsheet (Valuation and CAC benchmark). SaaS 13 Index Valuation. Portfolio. (3). Yahoo Finance. Thoughts from a Venture Capitalist on Software, Software-as-a-Service (SaaS), Cloud Computing, Internet and more. Wednesday, February 23, 2011. SaaS Multiples: Recovery or Bubble? My Investments. anecdotes. (13).

Software Review 101

Software Review Technical Review Valuation Europe 101

View from Seed

MAY 31, 2019

Some of the founders in our portfolio have an exceptional ability to raise additional capital (and at loftier valuations) remarkably ahead of where the underlying metrics of the business current would yield. My partners and I most often talk about defying gravity in the context of fundraising.

Valuation 149

Valuation Portfolio Metrics Founder 149